Abu Dhabi Securities Exchange (ADX) Group expands cross-border investment access and opportunities with Arab world’s first cross-listing of US-domiciled ETFs

The Abu Dhabi Securities Exchange (ADX) Group, one of the top 20 global exchanges by market size, has marked a major step in its global integration strategy by becoming the first exchange in the Arab world to list securities from the US.

This milestone follows the agreement the ADX Group signed with the New York Stock Exchange (NYSE) in 2023, which laid the foundation for two-way listings and expanded market access between the two exchanges. ADX has since signed additional agreements with several major global exchanges, creating a broader platform to support the introduction of more international products in the future.

This is the first time exchange-traded funds (ETFs) registered in the US are being cross-listed – when the same shares of the same company are listed on different exchanges – in the region, offering investors exposure to China’s vast digital economy and the global carbon credit market through two flagship ETFs from KraneShares, a specialist investment manager.

Together, KraneShares’ CSI China Internet ETF (KWEB) and Global Carbon Strategy ETF (KRBN) add nearly US$10 billion in assets under management (AUM) to Abu Dhabi’s market and expand the breadth of global exposure available on the ADX. Their addition brings the total number of ETFs listed on the ADX to 20, strengthening the exchange’s role as the region’s leading venue for diversified and thematic ETF investing and the gateway to global capital.

Abdulla Salem Alnuaimi, Group Chief Executive Officer of the Abu Dhabi Securities Exchange (ADX) Group, said: “This milestone reflects the continued strengthening of Abu Dhabi’s role within the global financial landscape. Listing US securities on the ADX demonstrates the confidence international partners place in our market infrastructure, regulatory robustness, and deepening liquidity. These ETF listings also serve as a meaningful bridge connecting the UAE with both the US and Chinese capital markets. As we expand our collaboration with leading global exchanges, we remain committed to enhancing market access, broadening investment opportunities, and supporting Abu Dhabi’s long-term vision for a dynamic, resilient, and globally connected capital market.”

KWEB, the largest US-listed China ETFs, offers investors exposure to 29 tech companies that provide services similar to Google, Facebook, Twitter, and Amazon in one of the world’s most populous countries and beyond. With a growing middle class, investors gain exposure to companies benefiting from rising domestic consumption as China’s more than 1.1 billion internet users increasingly turn to the services offered by tech giants such as Alibaba, Tencent, Pinduoduo, JD.com, Baidu, and Meituan. Retail web sales in China totaled around US$2.2 trillion in 2024 – compared to US$1.2 trillion in the US over the same period – and online shopping accounted for 35 per cent of retail purchases in China.

KRBN is benchmarked to the S&P Global Carbon Credit Index and provides investors with diversified exposure to major cap-and-trade carbon allowances through the most actively traded carbon credit futures contracts. A cap-and-trade program is designed to reduce pollution by putting a price on emissions and setting a limit, creating a market where carbon prices rise as regulations tighten. With a global market valued at more than US$900 billion, this ETF offers investors a way to hedge risk and to go long on the price of carbon while supporting responsible investing.

Jonathan Krane, CEO of KraneShares, said: “This is a transformational step for regional investors seeking global exposure through world-class ETFs. Cross-listing KWEB and KRBN on ADX not only expands access across the GCC but also strengthens financial bridges between the US, China and the Middle East.”

Jon Herrick, Chief Product Officer at NYSE Group, said: “KraneShares has long been an important member of the NYSE ETF community and seeing two NYSE-listed ETFs expand their global footprint through a cross-listing on ADX underscores the growing interconnectedness of global capital markets. We are thrilled to support initiatives that enhance access, deepen liquidity, and bring leading US-listed products to investors around the world.”

By making these global themes available on the ADX, investors can now access international opportunities during Gulf market hours, settle trades in AED, and work through UAE brokers without the need for offshore accounts. These breakthroughs improve investors’ ability to react to market developments in real time and reduce their exposure to gap risk, as shares remain fully fungible with the original units listed in the US.

The listings also give investors a seamless way to diversify portfolios across geographies, sectors, and sustainability-linked markets through a regulated and efficient local platform that combines global reach with the transparency of Abu Dhabi’s capital market infrastructure.

These benefits underscore the growing impact of ADX’s global partnerships and highlight how international investment themes are being brought directly to regional investors, contributing to deeper liquidity and a more connected investment landscape.